In this article, we discuss 5 of the largest ETFs in the world. If you want to see more of the largest ETFs in the world, go directly to 15 Largest ETFs in the World.
5. Invesco QQQ Trust (NASDAQ:QQQ)
AUM: $119.66 Billion
Invesco QQQ Trust (NASDAQ:QQQ) is an ETF that tracks the NASDAQ 100 which is a popular index that includes the ‘100 largest non-financial companies listed on the Nasdaq based on market cap’. Although the NASDAQ 100 has performed well since late 2000, tech stocks haven’t done well this year and the Invesco QQQ Trust (NASDAQ:QQQ) has declined 31% year to date. If the leading tech companies on the NASDAQ 100 continue leading in innovation, there could nevertheless be more long term upside.
4. Vanguard Total Stock Market Index Fund (NYSE:VTI)
AUM: $264.08 Billion
Vanguard Total Stock Market Index Fund (NYSE:VTI) is an ETF that “is designed to provide investors with exposure to the entire U.S. equity market, including small-, mid-, and large-cap growth and value stocks.” Given it has small and mid cap growth stocks, Vanguard Total Stock Market Index Fund (NYSE:VTI) has theoretically more growth potential but also has more risk than a fund that just tracks large cap S&P 500 stocks. As of 9/30/22, technology stocks accounted for almost a quarter of the fund, while consumer discretionary stocks made up 14.9% of the ETF’s composition.
3. Vanguard 500 Index Fund (NYSE:VOO)
AUM: $265.16 Billion
Vanguard 500 Index Fund (NYSE:VOO) is an ETF that ‘invests in stocks in the S&P 500 Index’. With assets under management of over $265 billion as of August 30, 2022, Vanguard 500 Index Fund (NYSE:VOO) also ranks #3 on our list of 15 Largest ETFs in the World.
One reason for Vanguard 500 Index Fund (NYSE:VOO)’s popularity is that it has a low expense ratio of 0.03%, which makes the fund one of the cheapest ways to track the S&P 500. Another reason is that the S&P 500 is a popular index that is considered by many as a pretty decent reflection of overall U.S. stock returns.
2. iShares Core S&P 500 ETF (NYSE:IVV)
AUM: $301.31 Billion
iShares Core S&P 500 ETF (NYSE:IVV) is an ETF that “seeks to track the investment results of an index composed of large-capitalization U.S. equities.” With the iShares Core S&P 500 ETF (NYSE:IVV), investors have a low cost, tax efficient access to 500 of the largest cap U.S. stocks. In terms of its holdings, tech companies, Apple, Microsoft, and Amazon account for 6.99%, 5.34%, and 3.18% of the iShares Core S&P 500 ETF (NYSE:IVV)’s weight respectively as of 10/26.
1. SPDR S&P 500 ETF Trust (NYSE:SPY)
AUM: $369.52 Billion
SPDR S&P 500 ETF Trust (NYSE:SPY) is an ETF that “seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the S&P 500 Index”. With an AUM of almost $370 billion as of August 30, 2022, SPDR S&P 500 ETF Trust (NYSE:SPY) is the largest ETF in the world by AUM.
Although SPDR S&P 500 ETF Trust (NYSE:SPY) is down around 20% year to date due to the broader market weakness, the ETF has performed well in the last 10 years in terms of average annual returns. As of September 30, 2022 the ETF has an annual average return of 11.56% in the last 10 years.
You can also take a look at 12 Best Ethical Stocks To Buy Now and 10 Most Valuable Internet Companies in 2000 vs. Today.
